The 10th Five-Year Plan for Energy Conservation ,Resources Comprehensive Utilization

The 10th Five-Year Plan for

Energy Conservation and Resources Comprehensive Utilization

Issued by STATE ECONOMIC AND TRADE COMMISSION, P. R. OF CHINA

Energy conservation and resources comprehensive utilization is a long-term strategic principle for the nation economy and social development. The 10th Five-Year Plan for Energy Conservation and Resources Comprehensive Utilization is formulated in order to thoroughly implement and carry out the spirit of the 15th Central Committee and the Fifth Plenary Session of the 15th Central Committee of the Chinese Communist Party and the Outline of the 10th Five-Year Plan of the People`s Republic of China for the National Economy and Social Development, push the society forward to implement energy conservation, consumption reduction and resources comprehensive utilization, and promote the shift of the mode of economic growth and sustained development of the economy.

1. Guiding Principles, Key Objectives and Key Points for Development in the 10th Five-Year Plan Period

(1) Guiding principles

Conscientiously carry out and implement the sustained development strategy, adhere to the principle of romote both resources development and conservation, put conservation first, protect and rationally make use of resources in accordance with the law, improve resources utilization ratio, and realize sustained utilization? follow the guidance of the market, let enterprises be the main players, focus on improving the energy efficiency and resources comprehensive utilization ratio, strengthen the building of the legal system, intensify the guidance of policy, rely on technological advances, strengthen the scientific management, establish and improve the macro management system and operation mechanism for energy conservation and resources comprehensive utilization that adapts to the socialist market economy, and promote the coordinated development of the economy, resources and the environment.

(2) Key objectives

Energy conservation: By 2005, the energy consumption of 10,000 yuan GDP shall be reduced to 2.2 tons of standard coal (according to the fixed price in 1990), energy conservation and utilization reduction shall be accumulated to 340 million tons of standard coal, the annual energy conservation ratio shall reach 4.5%. Conservation and substitution of fuel oil and finished oil shall reach 16 million tons and 5 million tons respectively.

The comprehensive energy consumption per unit for key energy consumption products shall be reduced dramatically. By 2005, the comprehensive energy consumption per ton of steel for medium and large-sized iron and steel enterprises shall be reduced to less than 0.8 ton of standard coal. Coal consumption of power supply for thermal power generation plants shall be reduced to 380g standard coal/KwH. The comprehensive energy consumption for 10 kinds of non-ferrous metals per ton of product shall be reduced to 4.5 tons of standard coal. The comprehensive energy consumption for large-sized synthetic ammonia shall be reduced to 37 Giga-joule. The average energy consumption for key products such as cement and glasses shall be reduced 20%. Oil consumption per 100 km for various types of vehicles shall be reduced 10to 15% averagely.

By 2005, the energy conservation ratio for newly built heating residential buildings in the building industry shall reach 50%, and the energy conservation ratio for newly built public works shall try to reach 50%.

Resources comprehensive utilization: By 2005, comprehensive utilization of the industrial hree wastes?shall realize an output of 40 billion yuan. The output for the recycling and utilization of waste and old materials shall reach 55 billion yuan. The industrial waste residue comprehensive utilization ratio shall reach 60%, where the gangue comprehensive utilization ratio shall re increased to 60%, and the pulverized coal ash comprehensive utilization ratio shall be increased to 65%.

(3) Key points for development

Key technologies for development:

Petroleum conservation and substitution technologies. Focus on the development of clean coal, natural gas substitution fuel oil technologies, methanol and ethanol substitution technologies, and oil saving technologies such as process energy optimization, plasma oil-free ignition, fuel emulsification, fuel additives.

Clean coal technologies. Focus on the development of large-sized and advanced coal washing, dressing and processing technologies, coal liquefying technologies, large-sized coal gasification technologies, integrated water gas pulp preparing and application technologies, more-than-410-ton/hour large-sized circulating fluidized bed technologies, integrated gasification combined circulating (IGCC) power generation technologies, and high-efficiency and low-pollution coal-fired power generation technologies.

Electricity saving technologies. Focus on the development of high efficient motors, high-voltage and high-power frequency conversion speed regulation technologies, high-efficient electrooptical source and ballast technologies, S9-and-above transformer and amorphous alloy iron-core transformer technologies, cold and thermal storage technologies, and electricity saving technologies such as domestic appliances, electrolytic and electroplated power supply, transmission and transformer substation network system and industrial electrical furnaces.

Multi-gang supply technologies. Focus on the development of cogeneration, central heating and thermal energy ladder-type utilization technologies. Popularize multi-gang supply technologies such as combined heat-power-cold supply and combined heat-power-gas supply.

Residue-heat and top pressure recovery technologies. Focus on the development and popularization of 75-ton/hour-and-above grade dry coke quenching technologies, high-capacity full blast furnace gas power generation technologies, 1000-cubic-meters-above blast furnace top differential pressure power generation technologies, blast furnace hot-blast stove residue-heat recovery technologies, converter gas recovery technologies, oil-field blow-off concentration and recovery technologies, and large-sized residue-heat boiler and advanced heat exchange technologies.

Building energy conservation technologies. Focus on the development of sealing strips for doors and windows, multi-layer airing windows, exterior thermal insulating composite wall, heat calculation against the household, and technologies such as temperature control, heat supply pipelines and network regulation and control, heat reflecting thermal insulation and heat protection, solar-energy buildings, high-efficient lighting system, and computer simulation.

“Three wastes?comprehensive utilization technologies. Focus on the development of high-capacity gangue power generation technologies, hollow brick production technologies through full gangue semi-stiff extrusion process, technologies to produce cement raw material with gangue instead of clay, road construction and backfill technologies, high value-added pulverized coal ash comprehensive utilization technologies, organic waste water comprehensive utilization technologies, smelting waste liquor recycling technologies, ground-level crude oil, sump oil and mud recycling technologies, and petrochemical waste gas recovery technologies.

Paragenous and associated mineral resources comprehensive utilization technologies. Focus on the development of high value-added utilization and fine and in-depth processing technologies for coal-bed gas, coal series paragenous and associated minerals, rare earth, schreyerite magnetite, and metals.

Renewable resources recovery and utilization technologies. Focus on the development of practical recovery, sorting and processing technologies for renewable resources such as waste rubber, waste plastics, waste domestic appliances, waste computers and waste batteries.

Key demonstration projects:

Oil conservation and substitution demonstration projects. Include substitution fuel oil demonstration projects in key oil consumption industries with clean coal and natural gas as key contents such as water gas pulp, coal gasification, fuel oil conservation demonstration projects with process energy optimization, plasma oil-free ignition as key contents, and substitution finished oil demonstration projects with methanol and ethanol as key contents.

Clean coal demonstration projects. Include thermal coal optimization and processing demonstration projects with processing technologies such as washing, dressing, shaping, blending, screening and grinding as key contents; small and medium-sized coal-fired industrial boiler technological transformation demonstration projects with fine fire coal, screened lump coal, fixed sulfur shaped coal, and advanced technologies such as circulating fluidized bed, and pulverized coal firing as key contents; large-sized circulating fluidized bed boiler demonstration projects with improving 410-ton/hour-above circulating fluidized bed boiler and the overall operating efficiency as key contents; and full-process liquid sulfur dioxide extraction demonstration projects with pollution control technologies such as desulfuriation in the course of washing and dressing, sulfur fixation in the course of firing and flue gas desulfurization as key contents. Promote the industrialization of clean coal technologies.

Electric motor speed regulation demonstration projects. Include high-voltage and high-power frequency conversion speed regulation demonstration projects with the manufacturing of components, electro-technical frequency converter and the integrated development of related complete sets of equipment as key contents; low-voltage and small and medium power frequency conversion speed regulation demonstration projects with structure-simplified special frequency converters as key contents; and fan and pump system optimization demonstration projects with the combination of optimized and matched hardware and software for high-efficient electric motors and their drive fans, pumps and governor system as key contents. Improve the efficiency of electric motor system 10% to 12%.

Green lighting demonstration projects. Include the certified high-efficient and energy saving lighting system to be popularized in key construction projects for the Olympic Games to be held in Beijing in 2008. Make large-volume or government procurement for various construction projects. Implement the quality promise. Increase the market share of fine-quality lighting electric appliances.

Coal-bed gas resources comprehensive utilization demonstration projects. Select regions achieving breakthrough in the exploration of coal-bed gas to establish 2 to 3 demonstration bases for the surface development and utilization of coal-bed gas, so as to improve the gas utilization ratio and promote the industrialization of coal-bed gas exploration, development, production and utilization.

Mine gangue comprehensive utilization demonstration projects. Construct high-capacity gangue power generation projects, projects that use gangue to produce new-type building materials for wall, and mine re-cultivation projects in key mines with conditions.

Paragenous and associated mineral resources comprehensive utilization demonstration projects. Focus on the tackling of technological problems in the ultrafining, brightening and modifying of kaolin. Organize a number of projects for comprehensive utilization and in-depth processing of bauxite, fire-clay, pyrite, alta-mud and diatomaceous earth. Develop in-depth processing and utilization of coal series paragenous and associated resources. Select three resources comprehensive utilization bases in Panzhihua, Baotou and Jinchuan to develop comprehensive utilization of paragenous and associated minerals of schreyerite magnetite, rare earth and non-ferrous metals.

Renewable resources recovery and utilization industrialization demonstration projects. Establish an integrated waste and old materials recovery and utilization system including community recovery, market collecting and distribution, and processing and utilization. Establish waste plastics, waste rubber, waste tyre, waste domestic appliances, waste computer and waste battery recovery and treatment bases and industrialized bases for the recovery, dismantling and disposal of waste vehicles.

Energy-saving and clean enterprise demonstration projects. Select several enterprises in key industries, strengthen the administration, make the system energy efficiency reach the highest level of the same trade or close up to the advanced world level, and make the pollutant close up to or reach ero? discharge, through system technological transformation.

Market-oriented energy-saving technical service system demonstration projects. Based on pilot projects for market-oriented energy-saving technical service in the 9th Five-Year Plan, pick up several energy-saving technical service centers to conduct reorganization and structural reform and adopt a new contracted energy management service system so as to improve the level of energy-saving technical services and promote the popularization and application of advanced and practical technologies in small and medium-sized enterprises.

2. Policies and Measures

(1) Strengthen the building of the legal system and improve the implementation of policies

Conscientiously carry out the Energy Conservation Law, accelerate the formulation of supporting rules and regulations of the Energy Conservation Law, guide and standardize the activities of energy utilization. Focus on the organization of the formulation of Provisions for the Administration of Petroleum Conservation and Provisions for the Administration of Energy Efficiency Identification. Accelerate the establishment of the resources comprehensive utilization law system, study and formulate laws, rules and regulations such as the Renewable Resources Recycling and Utilization Law, Provisions for the Administration of Tailing Comprehensive Utilization, and Provisions for the Administration of the Recovery and Utilization of Waste and Old Domestic Appliances and Waste Computers. Based on the improvement of rules and regulations, improve the law enforcement system, strengthen the supervision and inspection, and implement the administration in accordance with the law.

Carry out and implement the Circular of the State Council on Approving and Transmitting Proposals of Departments including the State Economic and Trade Commission on Further Implementing Resources Comprehensive Utilization (Guofa[1996] No.36), carry out state preferential policies for resources comprehensive utilization, bring into full play the guiding role of policies, guide and encourage enterprises to conscientiously implement resources comprehensive utilization and renewable resources recovery and utilization. Organize the revision of the List of Resources Comprehensive Utilization and improve preferential policies on tax reduction and exemption.

(2) Formulate and implement energy efficiency standards and the certification and identification system, and standardize the market of energy-saving products

Formulate and improve key energy efficiency standards for energy-using products. Include energy efficiency standards for key industrial energy-consuming equipment such as industrial boiler, electric motors, fans, pumps and transformers, and domestic appliances, lighting equipment, buildings and vehicles so as to provide a technological basis for obsoleting products with high energy consumption and implementing energy-saving product certification and energy efficiency identification system.

Standardize and implement the energy-saving product certification. Based on the implementation of the energy-saving certification on domestic appliances and lighting equipment, expand the scope for the energy-saving product certification, explore and establish the international inter-certification system for certified products, and improve the notability of certified products.

Establish the energy efficiency identification system. Based on drawing on successful foreign experiences in implementing the energy efficiency identification system, initiate and implement the energy efficiency identification for key domestic appliances, according to the principle of oluntary First and Compulsory Second, Pilot First and Popularization Second? and gradually expand to energy-using products such as lighting equipment and office appliances.

(3) Vigorously readjust the structure and promote the structural energy conservation and the optimization of the energy structure

Rationally readjust the industrial structure and the product mix, vigorously develop the tertiary industry and high and new technology industries with low consumption of energy, transform traditional industries with high and new technologies, and increase the added value of products. Accelerate the obsolescence of techniques, technologies and equipment with high consumption of energy, low efficiency and heavy pollution. Vigorously readjust the energy consumption structure, increase the proportion of coal for power generation in the consumption and the proportion of the electric power in the end energy consumption. Develop clean coal technologies, expand the utilization of natural gas, develop new energy resources and renewable resources, and promote the development of high-efficient and clean energy utilization.

(4) Promote technological advances and improve the overall technological level of energy conservation and resources comprehensive utilization

Accelerate the establishment of technological innovation system with enterprises as the principal, organize major technological development, promote the combination of production, teaching and research, and promote the industrialization of scientific and technological achievements in energy conservation and resources comprehensive utilization. Organize and implement key demonstration projects for energy conservation and resources comprehensive utilization and intensify the support. Conscientiously cultivate and develop the technological market, apply the market mechanism in promoting the popularization and application of new technologies, new techniques, new products and new equipment. Organize the revision of the Outline of China`s Policies on Energy-saving Technologies, and formulate the Outline of China`s Policies on Resources Comprehensive Utilization Technologies. Promulgate the list of techniques, technologies and equipment for energy conservation and resources comprehensive utilization encouraged by the state for development and the list of backward techniques, technologies and products to be obsoleted.

(5) Study and formulate incentive policies that can satisfy the requirements of the market economy and promote energy conservation and resources comprehensive utilization

Study and formulate jointly with relevant departments taxation and tax burden transfer policies that can restrain excessive resources consumption and be favorable for enterprises to implement energy conservation and resources comprehensive utilization. Study and formulate public financial support policies for energy conservation and resources comprehensive utilization. Study measures to further deepen the energy price reform and the energy price forming mechanism and establish an energy price forecast system. Study and formulate policies that can bring energy conservation and resources comprehensive utilization technological transformation projects into the scope of support from the policy-related bank and provide preferential treatment in terms of loan. Study and formulate policies that can impose heavy taxes on products and equipment with high energy consumption and heavy pollution, and can compulsorily implement the obsolescence of products with high energy consumption.

(6) Explore the way to establish new mechanisms that can promote energy conservation and resources comprehensive utilization under the conditions of the market economy

It is necessary for us to explore the way to establish new mechanisms that can satisfy the requirements of the market economy and promote energy conservation and resources comprehensive utilization in order to alter the functions of the government. Such new mechanisms include: market-based energy-saving information transfer mechanism that can promote the popularization and application of new technologies, new techniques and new equipment and guide enterprises to implement energy-saving technological transformation by producing and promulgating energy-saving cases; contracted energy management technical service mechanism that can overcome market barriers in popularizing new energy-saving technologies and products; comprehensive resources planning and demand administration provisions that can guide the rational planning and allocation of resources utilization; energy-saving product government procurement mechanism that can bring energy-saving products into the list of government procurement so as to accelerate the popularization and application of new energy-saving technologies and products. Governmental institutions shall take the lead to save energy so as to reduce the huge amount of expenditure in energy consumption and lead the whole society to save energy. Enterprises shall conclude voluntary agreements so as to lead enterprises or institutions to take voluntary measures to realize energy-saving objectives.

(7) Devote great effort to information services, publicity and training

Intensify information services. Accelerate the establishment of energy conservation and resources comprehensive utilization information and intelligence network system, make full use of modern information technological means to enrich information resources, strengthen information exchanges, provide enterprises with advanced technologies and management information, and promote enterprise energy conservation and resources comprehensive utilization to a new level.

Organize the annual Nation-wide Energy-Saving Publicity Week, and try to improve the effects of the publicity. Devote great effort to regular publicity, training and education, so as to intensify the resources awareness, environmental awareness and conservation awareness of the whole society.

Make a thorough investigation and study, find out advanced examples and summarize experiences in terms of energy conservation and resources comprehensive utilization, organize exchanges and popularization in time, and give full play to the demonstrative and guiding role of such advanced examples.